The Munich car manufacturer bmw relies on electric cars and luxury cars and is preparing for growth for the current year. Sales should increase slightly overall, prices should remain stable, BMW announced on Wednesday. A significantly higher demand for electric cars was already noticeable in the first two months, especially in China it went up sharply.
The prospects were well received on the stock exchange: The Shares
increased by 1.3 percent on Wednesday, making it one of the front runners in the Dax.
BMW boss Oliver Zipse (59) is hoping for a further boost from the new electric models that will come onto the market from 2025. Well before 2030, more than half of all BMW cars sold could have a fully electric drive, by 2023 it should be 15 percent, it said.
BMW wants to generate the necessary investments for innovations from the current inflow of funds, said the outgoing BMW CFO Nicolas Peter (60). “Thus, our BMW path remains focused on the profitable and sustainable future of the company.” At 8 percent, the profit margin in the car business (EBIT) for the current year should be within the scope of the long-term goals.
Zipse earns over 10 million euros
With the presentation of the balance sheet, the car company also gives an insight into its board salaries. BMW boss Zipse received total remuneration of 10.2 million euros last year. That is far more than VW boss Oliver Blume (54) earned. He came in his Double role as group and Porsche boss to 7.39 million euros. Mercedes-Benz boss Ola Källenius (53) earned 6.11 million euros in 2022.
The pre-tax profit in the current year is likely to remain well below the previous year’s level of 23.5 billion euros. Last year, BMW benefited from the full inclusion of its China business in the balance sheet, which alone increased profits by 7.7 billion euros increased to a record level.
BMW is preparing for a continued tense supply situation on the raw materials market. Disruptions and other significant cost burdens in the supply chains are to be expected, said CFO Peter. “Increased costs for logistics will continue to weigh on the result.” After all, the availability of components and semiconductors should improve slightly. The energy supply should also stabilize.